Trading pyramid

Many, many people have gone into the making of this book. Frequently
I speak to a consultancy client or discuss a point with an attendee at one
of my seminars and gain insight which I have tried to distill into these
pages.

Legend has it that the first diamonds were found in India 8,000 years ago along the Penner, Krishna and
Godavari rivers. Prized for their physical qualities, diamonds were used to decorate religious icons and as
engraving and polishing tools. From early on, they were associated with wealth, status and well-being.
Historians believe the international diamond trade began about 1,000 years ago when traders began
transporting rough stones from India across Arabia. The stones were cut and polished before being sold on
the European continent to royalty and aristocrats.

Chapter 11 - The Asia Pacific region. What you should learn about in chapter 11: The dynamic growth in the region, the importance and slow growth of Japan, the importance of the Bottom-of-the-Pyramid Markets, the diversity across the region, the interrelationships among countries in the region, the diversity within China.

A controlling owner in this situation could extract wealth from the firm,
receive the entire benefit, but only bear a fraction of the cost. We offer a simple
pyramidal structure to illustrate this point. An entrepreneur owns 25% of the stock in
publicly traded Firm A, which in turn owns 32% of the stock in Firm B. In the most
modest scenario, we note that the entrepreneur controls 25% of Firm B -- the weakest
link in the chain of voting rights. At the same time, the entrepreneur owns about 8% of
the cash flow rights of Firm B, the product of the two ownership stakes...